Brian Cowen (Laois-Offaly, Fianna Fail)

We should just deal with the facts. The decisions we took resulted in €4 billion being taken out of the economy last year - they were opposed by the Opposition - and have brought us from a position of contraction in the economy of more than 10% of GNP in 2009 to stabilisation this year of 0% and very little growth, if any. The whole purpose of further consolidation is to bring the public finances further into order, as well as identifying sectors for growth, to promote growth in the economy and to achieve a position whereby we can get to net employment in the country when coming out of this crisis. That is the Government's strategy and it has been validated and supported by international institutions of repute, the independent institutions of whom the Deputy speaks.

I say to Deputy Kenny that it does not add to our debate one whit to suggest that the Department of Finance did not provide a full, independent assessment of the situation, taking into account many predictions. On the question of forecasting, by definition, forecasting has to involve certain assumptions which are put into the model and an outcome is produced. What has been clear is that the growth forecast for the European economy, the world economy and, by extension, the Irish economy has to be modified somewhat as a result. We would also contend that the flexibility of our labour markets has been such that we have been able to benefit from a pick-up in world trends and output better than most because of the open nature of our economy. It is not, therefore, correct to say that every figure the Deputy received is incorrect. The budgetary targets as set out in December 2009 for the financial year 2010 are broadly as outlined.

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